KKR raises $4.3bn for Americas opportunistic real estate fund

KKR raises $4.3bn for Americas opportunistic real estate fund

Global investment firm KKR on Monday announced the final closing of KKR Real Estate Partners Americas III (REPA III), a $4.3 billion fund dedicated to opportunistic real estate investments primarily in the U.S.

REPA III is the successor fund to KKR Real Estate Partners Americas II (“REPA II”), which completed fundraising in January 2018 with $2 billion in capital commitments.

”The fund received strong backing from a diverse group of new and existing global investors, including public pensions, sovereign wealth funds, insurance companies, family offices, high net worth individual investors and other institutional investors. As of September 2021, REPA III had already committed more than $1 billion of capital,” said KKR in a statement.

“More than double the size of our predecessor fund, REPA III demonstrates the enthusiasm our investors have for the current opportunity set in the Americas as well as their confidence in our integrated platform to deliver differentiated absolute and relative investment performance through changing market cycles,” said Chris Lee, Head of Real Estate Americas for KKR.

“Through our thematic approach and connectivity to KKR’s broad investment platform, we have been able to identify high-conviction investment themes that we have invested behind in scale to generate attractive risk adjusted returns for our investors. We plan to continue this approach as we identify investment opportunities for REPA III,” said Justin Pattner, Head of Real Estate Equity in the Americas for KKR.

“As we mark this important milestone in our business 10 years after we first launched a dedicated real estate strategy, our real estate platform has evolved to include multiple pools of capital with the ability to transact in scale across the equity and credit risk spectrum. We believe that our platform gives us tangible advantages that translate into differentiated outcomes for our collective investors across our multiple products,” said Ralph Rosenberg, Global Head of KKR Real Estate.